Effects of the Government Taxation Policy on Distribution of Income with an emphasis on Human Development Index in Iran
الموضوعات : مجله بین المللی علوم اجتماعی
1 - Associate Professor, Department of Social Planning, University of Tehran, Iran
الکلمات المفتاحية: taxation system, Distribution of Income, rentier government, taxes, Human Development Index (HDI),
ملخص المقالة :
The present article aims to discuss possible impacts of taxes on distribution of income through an examination of dependent variable of "Human Development Index" (HDI) as well as a study of factors affecting or otherwise are unlikely to affect the taxation system (the entity of government) in advancing an optimal distribution of income in Iran in the course of three specific post-revolutionary development plans. First of all, a deductive method was applied to assess the effect of taxation on the behavior of human development index where a statistical analysis was conducted by means of the E-VIEWS program. Then, an in depth, qualitative research method based on interviews with the elite was applied to examine possible qualitative effects of government taxation policy on income distribution policies .Coefficient and value of tax driven revenues in the model indicate that wherever tax driven revenues increases by one percent, the human development index will decrease by 0.07 percent and vice versa. It also shows that whenever the coefficient and value of the share of direct tax revenues from the GDP except for oil revenues increases by one percent, the human development index will increase by 0.14 percent and vice versa. Statistically speaking there is no meaningful relationship between taxation driven revenues and human development index. Given to the fact that the Human Development Index (HDI) stood as a dependent variable indicative of distribution of income in the present article, the paper concludes that taxes show no distributive efficiency in the course of the development plans. As for the role of the entity of government in the distribution of income, rentier government indexes were confirmed which points to clientelism in economy as well as no dependence on the part of the establishment to tax revenues. Put it another way, with a rentier government in place in the Iranian economy, the taxation system has failed to pick a distributive efficiency.
